Ecuador and Colombia escalate tariff war to 100 percent

Ecuador raised tariffs to 100 percent on imports from Colombia, effective May 1, according to the Ministry of Production, Foreign Trade and Investment. The move follows Ecuador's earlier increase of a "security rate" from 50 percent to 100 percent on Colombian goods.

Colombian President Gustavo Petro ordered the immediate return of his ambassador from Quito in response to the tariff increase. Colombia's Ministry of Commerce, Industry and Tourism announced Friday that it would raise its own tariffs on Ecuador to 100 percent, up from 30 percent, matching the rate set by its neighbor.

Ecuador's President Daniel Noboa justified the tariff increase by citing what he characterized as Colombia's failure to take concrete steps to curb drug trafficking and organized crime along the shared border. "It is not possible to reach agreements with someone who does not have the same commitment to fighting narco-terrorism," Noboa said Thursday night.

Colombia's Commerce Ministry stated that diplomatic solutions had been sought without success. The ministry also said Colombia considers Ecuador's measures to be anticompetitive and filed a complaint with the Andean Community, a regional trade bloc.

Colombia has disputed Ecuador's accusations, pointing to its military operations designed to intercept illicit drugs. In November, Colombia seized what officials described as its largest drug shipment in a decade.

Ecuador has cited a trade deficit with Colombia and accused its neighbor of insufficient action against drug trafficking as reasons for the tariff increases. Colombian exports to Ecuador exceed imports from Ecuador, according to trade data referenced in the dispute.

The escalating tariff measures represent a significant deterioration in the trade relationship between the two South American nations. Both countries have now implemented 100 percent tariffs on each other's imports, marking a sharp increase from previous rates.